youtube.com— Clear video explaining how our financial system works. Heard people talking about national debt, creating money out of nothing and the Federal Reserve? Watch this video and learn all there is to know.
Sep 24, 2007View in Crawl 4
inflation is the change in price of a collection of items over the course of a year, do you see prices rising by over 4% each year across the board?"You're already wrong. The person who deposited the money owns the $1 and the $9. The bank is just using it."yeah sorry, i should have said that the bank 'is responsible' for the money, not owns it, my bad."Why is just in case in quotes there? It seems you're suggesting that the idea that people want to withdraw their money is a bit far-fetched or somehow not worthy of real consideration."the concept of people wishing to withdraw their money is not far fetched, the concept of enough customers wishing to withdraw enough money that 10% of the banks funds will need to be handed out is far fetched in the real world though.you missed a step in your explanation, which i think you were getting at when you replied to yourself, but i'll explain it anyway.lets say the $100 belongs to bill, $90 of it is loaned out to fred, which is then deposited into the same bank by Jim. the bank now has $190 in deposits and $90 in loans. which means it can loan out a further $81 to make $171 in loans, leaving $19 in the bank to satisfy the 10% rule. the bank hasn't 'created' any new money, the only extra money it gets is from the interest charged to repay the loan.also, electronic transactions ARE cash. sit outside the central vault of a leading bank one afternoon and you will see a truck come past and collect a large sum of money and take it to another bank. This is because at the end of the day the bank works out the difference of the transactions between itself and its competitor and either moves the surplus cash to the competitors vault or recieves the amount that it is short.
"Permit me to issue and control the Lindens of Second Life, and I care not what monstrous ugly eyesore subdivisions the residents create."-- Mitch Kapor. Someone follow up with the appropriate WOW equivalent...
Problem is... As it said... If their were "Bank Runs" as they called it, Then it would fall. If our currency falls. We will too. We would be as poor as 3nd world counties. Now I'm sick of this fake money junk that comes out of thin air. But, We have to think of how to CHANGE our money system, What will it be? How much worth it will be? Will people actually use it? And so on. And just getting RID of the money out of thin air... would be a bad idea. We need to CHANE it not JUST get rid of it.-Noureddin
I agree labor is at the root source of this. I love this video and watched several times. It doesn't talk about labor. But the laws are written to back up these inflated ratios it talks about, so while you may want to ignore them, the world around is being enforced with these... loose numbers. US's debt far exceeds the rest of the planet. It confuses me, but I expect that would result in some "bubble bursting" action at some point. And then all hell breaks out.
halgySep 26, 2007
Yes they do.
alexlavrSep 26, 2007
umm i dont know about you but in my high school they made it pretty clear that today's money is faith-based
ophelloSep 27, 2007
i bet most people arent like what you say they are.
thesmiddySep 28, 2007
inflation is the change in price of a collection of items over the course of a year, do you see prices rising by over 4% each year across the board?"You're already wrong. The person who deposited the money owns the $1 and the $9. The bank is just using it."yeah sorry, i should have said that the bank 'is responsible' for the money, not owns it, my bad."Why is just in case in quotes there? It seems you're suggesting that the idea that people want to withdraw their money is a bit far-fetched or somehow not worthy of real consideration."the concept of people wishing to withdraw their money is not far fetched, the concept of enough customers wishing to withdraw enough money that 10% of the banks funds will need to be handed out is far fetched in the real world though.you missed a step in your explanation, which i think you were getting at when you replied to yourself, but i'll explain it anyway.lets say the $100 belongs to bill, $90 of it is loaned out to fred, which is then deposited into the same bank by Jim. the bank now has $190 in deposits and $90 in loans. which means it can loan out a further $81 to make $171 in loans, leaving $19 in the bank to satisfy the 10% rule. the bank hasn't 'created' any new money, the only extra money it gets is from the interest charged to repay the loan.also, electronic transactions ARE cash. sit outside the central vault of a leading bank one afternoon and you will see a truck come past and collect a large sum of money and take it to another bank. This is because at the end of the day the bank works out the difference of the transactions between itself and its competitor and either moves the surplus cash to the competitors vault or recieves the amount that it is short.
anarchytvSep 30, 2007
"Permit me to issue and control the Lindens of Second Life, and I care not what monstrous ugly eyesore subdivisions the residents create."-- Mitch Kapor. Someone follow up with the appropriate WOW equivalent...
mrxfromplanetxOct 2, 2007
This should be read by everyone. This explains how the government printing money, to pay corporations, makes life great for them, but drops the value of the dollar for every day Americans so we wind up being really poor <a class="user" href="http://digg.com/politics/The_Inflation_Tax_3">http://digg.com/politics/The_Inflation_Tax_3</a>
noureddinNov 18, 2007
Problem is... As it said... If their were "Bank Runs" as they called it, Then it would fall. If our currency falls. We will too. We would be as poor as 3nd world counties. Now I'm sick of this fake money junk that comes out of thin air. But, We have to think of how to CHANGE our money system, What will it be? How much worth it will be? Will people actually use it? And so on. And just getting RID of the money out of thin air... would be a bad idea. We need to CHANE it not JUST get rid of it.-Noureddin
nastajusNov 21, 2007
I agree labor is at the root source of this. I love this video and watched several times. It doesn't talk about labor. But the laws are written to back up these inflated ratios it talks about, so while you may want to ignore them, the world around is being enforced with these... loose numbers. US's debt far exceeds the rest of the planet. It confuses me, but I expect that would result in some "bubble bursting" action at some point. And then all hell breaks out.
debtsolverJun 23, 2008
Banks are using you and your debts. That's so simple. <a class="user" href="http://www.debtsolver.co.uk/">http://www.debtsolver.co.uk/</a>
debtsolverJun 23, 2008
Banks are using you and your debts. That's so simple. <a class="user" href="http://www.debtsolver.co.uk/">http://www.debtsolver.co.uk/</a>